Gold Prices Close Above $1,700 while Silver Advances 1.1%

Gold prices on Thursday settled above $1,700 an ounce for the first time in six months as investors turned bullish after the European Central Bank revealed its unlimited bond-buying plan.

Gold for December delivery advanced $11.60, or 0.7%, to close at $1,705.60 an ounce on the Comex in New York. The settlement price was the highest since March 9. Gold prices ranged from an intraday low of $1,693.70 to a high of $1,716.90.

"Gold is holding because the market has been given what it was hoping for, but in order for gold to move decisively higher from here, we need to see what numbers the U.S. will bring to the table," Reuters quoted Ole Hansen, senior manager at Saxo Bank. "The longer we stay above $1,700, the better. It gives all the newly-established long positions a bit of confidence."

The U.S. Labor Department will release the August employment report on Friday at 8:30 a.m. Eastern Time.

In other New York precious metals prices on Thursday:

Silver prices for December delivery settled up 34.5 cents, or 1.1%, to $32.674 an ounce. Silver traded between $32.245 and $33.040.

Platinum for October delivery closed at $1,586.40 an ounce, climbing $10.80 or 0.7%. The PGM metal ranged from an intraday low of $1,565.00 to a high of $1,593.40.

Palladium for December delivery edged up 80.0 cents, or 0.1%, to $647.75 an ounce, trading between $641.55 and $652.40.